EuroSand Lays the IT Foundation for the Future
Customer Service Revamped
EuroSand GmbH is a manufacturer and the world’s largest specialty supplier of high-quality decorative grit products. With SAP Business One, this growing medium-sized company is meeting the increasing demands for customer service, customer loyalty, and inventory management.
Result: More Time for Innovation
Overall, EuroSand GmbH’s work processes run significantly more effectively and quickly with the standard SAP software. This saves valuable time, which in turn is channeled into the development of new products. Looking ahead, the mid-sized company plans to connect its field sales representatives to the SAP software via a Virtual Private Network (VPN). An archiving solution as an add-on for SAP Business One will also help store tax-relevant data and documents in an audit-proof manner. In the future, EuroSand also intends to handle the exchange of receipts, invoices, and other documents with customers and suppliers—such as those in Asia—electronically. “With SAP Business One, we have the right foundation to expand our sand business and continuously strengthen our competitive edge,” says Stefan Hammer with conviction.
Key Challenge
- All information required for effective customer service and fast order processing should be made available promptly and in a clear, organized manner.
Project Goals
- Streamline the workflows involved in order processing.
- Free up more time for new product development.
- Optimize communication among all parties involved in the sales process.
Company:
Decorative accents made of scented and colored sand, decorative stones and granules, as well as glass and ceramics, adorn many living rooms. What most people don’t know is that these are usually products from the Upper Palatinate-based company EuroSand GmbH.
Founded in 1999 with ten employees, the company has grown impressively. Today, this medium-sized business employs 125 people at its production site in Weiden.
The current product range includes around 15,000 items. The company has a nationwide market presence in Germany, and approximately 1.5 million items are shipped monthly to 90 countries worldwide. The export share currently stands at 40 percent and is on the rise.
Initial Situation:
EuroSand GmbH had previously managed its processes using an Access database and Excel spreadsheets. Although the software was repeatedly customized to accommodate changes within the company, it “reached its performance limits in light of the company’s rapid growth,” explains Stefan Hammer, IT Manager at EuroSand GmbH.
The company lacked a comprehensive reporting system and a fully integrated view of its individual business processes. “Transparent, end-to-end, and process-oriented workflows were therefore only possible to a limited extent,” said Mr. Hammer. Consequently, in the fall of 2004, management decided to implement new business software and proceeded to compare products from several vendors.
The Ingolstadt-based SAP partner init consulting AG presented SAP Business One during a selection process. The solution convinced the decision-makers at EuroSand GmbH—in part because of its comprehensive reporting capabilities and customer management features. The final decision to adopt SAP Business One was not made until mid-March 2005, as the company wanted to implement a series of structural changes at the same time as rolling out the new software.
Solution:
The new solution makes the service staff’s work easier. They now manage all customer information centrally using the CRM (Customer Relationship Management) functionality in SAP Business One. In addition to general contact information, the contact history and customer sales reports—such as the most recent order, open items, or payment history—are displayed on the screen at the same time. “Thanks to the intuitive Drag&Relate function, our ability to provide information—and thus our customer service—has improved significantly,” notes Stefan Hammer. “Users can quickly and easily access the right information. This enables them to promptly answer inquiries regarding orders.” Currently, 18 users are working with SAP Business One.
As part of the implementation of SAP Business One, the medium-sized company also upgraded its IT infrastructure and quadrupled its warehouse capacity with a modern high-bay warehouse. With SAP Business One, EuroSand GmbH can access all relevant data at the touch of a button. The forecasting functions in Material Requirements Planning (MRP) determine when and how many decorative items to produce for inventory. This helps the company avoid both excessive surplus and product shortages. “This allows us to deliver quickly to our customers at any time,” explains Stefan Hammer.
The switch to the SAP standard solution has also paid off for the company’s management. With just a click of the mouse, the reporting system provides detailed analyses and information on all areas of the business. Today, management makes important decisions based on up-to-date, well-founded reports and analyses of sales, customer trends, cash flow, and current inventory levels.
Overall, with the SAP standard software, work processes at EuroSand GmbH run significantly more effectively and quickly. This saves valuable time, which in turn is channeled into the development of new products. Looking ahead, the medium-sized company plans to connect its field sales representatives to the SAP software via a Virtual Private Network (VPN). An archiving solution as an add-on for SAP Business One will also help store tax-relevant data and documents in an audit-compliant manner. In the future, EuroSand GmbH also intends to handle the exchange of receipts, invoices, and other documents with customers and suppliers—such as those in Asia—electronically. “With SAP Business One, we have the right foundation to expand our sand business and continuously strengthen our competitive edge,” says Stefan Hammer with conviction.
